The Reno Crime Control and Prevention District board of directors conducted a public hearing February 8 to discuss placing a $0.005 sales tax on the residential use of gas and electricity. Numerous citizens participated in the public hearing and requested additional information.
The Reno city sales tax became effective April 1, 1976 and the Reno Crime Control and Prevention District (RCCPD) sales tax became effective January 1, 2003. In both instances, an election was held and a majority of the voters approved implementation of both taxes.
Reno collects two separate and distinct sales taxes. One is the city sales tax and its rate is $0.01(one cent per dollar). The other is the RCCPD sales tax and its rate is $0.005 (one-half cent per dollar).
Residential use of natural gas and electricity has been taxed under the city sales tax since 1978 and possibly longer. When Reno citizens formed the RCCPD in 2003 taxation of residential use of natural gas and electricity by the RCCPD was not allowed. As of January 1, 2010, a crime control and prevention district organized under Chapter 363, Local Government Code is allowed to impose tax throughout the special purpose district on residential use of gas and electricity. Before the tax can be imposed, the RCCPD must conduct a public hearing and vote to impose or not to impose the tax on residential use of natural gas and electricity.
How much money will this tax generate? For the fiscal year 2008-09 Reno collected $197,746.57 city sales tax and $79,502.99 RCCPD sales tax. It is anticipated the RCCPD would collect an additional $1,200.00 to $1,800.00 per month if the sales tax were added to the residential use of natural gas and electricity. Since the amount is dependent on how much natural gas and electricity is consumed we have no method of accurately predicting the amount of additional income this tax will produce.
How the money would be spent? All revenue received by the RCCPD must be spent in accordance with Chapter 363 of the Local Government Code which states the district may finance all the costs of a crime control and crime prevention program, including the costs for personnel, administration, expansion, enhancement, and capital expenditures. The program may include police and law enforcement related programs, etc.
If the RRCPD votes to place, the $0.005 sales tax on residential use of natural gas and electricity all funds will be used to support crime prevention and your police department.
Your monthly cost would be $0.005 (one-half cent per dollar) for each dollar you spend on natural gas and electricity for your residence. For every $100.00 you spend on natural gas and electricity, your monthly bill would increase $0.50. If you spend $500.00 per month for natural gas and electricity, your monthly bill would increase $2.50 per month.
I would also like to thank each of you who attended the public hearing and hope to see you at future meetings.
I hope I have answered your questions and addressed your comments in a manner acceptable to each citizen of Reno. If I have not or you need additional information please contact either Cara Hubbard, your city secretary at 903-785-6581 or myself.
William (Buddy) Heuberger, Mayor
1 comment:
I am writing about the article in the Paris News which mentions a new tax in Reno to support the Police Department.
PLEASE, NO MORE TAXES!
People are taxed to the limit. It is time for all tax supported entities to scale down not expand. Many citizens in Reno moved to Reno to escape the high taxes of Paris. We citizens do not need more city services. People previously moved to Reno and now move to the county to escape the city services and taxes associated with those services. The only city services provided that I desire are water, sewer, and street repair. There are no other city services that I want including fire, police, trash, etc.
Our city is safe and I believe our PD does a very good job as is.
Please work to find ways to reduce the cost of running the city rather ways to increase the costs.
Post a Comment